Dec 3, 2024
How Small Businesses Can Leverage AI To Optimize And Scale
Posted by Shubham Ghosh Roy in categories: business, economics, robotics/AI
Froilan Mendoza is Founder & Chief Technology Officer of Fulcrum Solutions.
Small businesses are the backbone of the U.S. economy. They represent 99.9% of all businesses in the country, account for 43.5% of GDP and employ almost half of the U.S. workforce. Yet small business owners have always had to overcome obstacles to survive and succeed. Lack of capital is responsible for 38% of small business failures. Labor costs make up 70% of their expenses, and a national labor shortage of 2 million workers is exacerbating the difficulty of hiring and keeping talent.
The good news is that AI is leveling the playing field for small businesses, giving them easy-to-use tools to optimize their processes and scale their organizations without huge teams or budgets. A 2024 study from the U.S. Chamber of Commerce found that 98% of small businesses are already using an AI-enabled tool, and 91% of owners say that AI will fuel future business growth. The use of generative AI tools, such as chatbots and image creators, grew by 40% in the last year.